Tata Technologies, founded in 1989, initially served as the automotive design unit of Tata Motors. In 1994, it became an independent company, with Tata Motors retaining a majority stake and remaining its principal client. Fast forward to March, when Tata Technologies filed draft papers with SEBI for its initial public offering (IPO).

The IPO will be conducted purely as an offer for sale (OFS), with the company and its major stakeholders selling a portion of their shares to the public.

The IPO is expected to see the offloading of up to 9.571 crore shares. Tata Motors, the subsidiary’s parent company, plans to sell 8.11 crore shares, equivalent to a 20 per cent stake in Tata Technologies.

Additionally, Alpha TC Holdings Pte is planning to sell up to 97.16 lakh shares (2.40 per cent), and Tata Capital Growth Fund I will offload up to 48.58 lakh equity shares (1.20 per cent) through the OFS.

As of now, the official date of the IPO has not been announced. However, there is significant anticipation among investors, and the grey market is buzzing with activity. Grey market activities suggest a high level of interest in the IPO, with the grey market premium (GMP) currently standing at Rs 100 per share, indicating expectations of a strong listing for the company.

The book-running lead managers to the IPO are JM Financial Ltd, Citigroup Global Markets India, and BofA Securities India. This IPO marks Tata Technologies’ first public offering in 19 years, making it a significant event for the diversified conglomerate. Investors are eagerly awaiting further updates on the IPO, and the company’s growth prospects have generated a lot of excitement in the market.

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